I am in a somewhat of a good position today. NASDAQ is down more than 24 points as well as DJIA and S&P 500. However, couple of my stocks are going in opposite direction. positive I mean.
Earlier in the day I closed Joy Global (JOYG). Just now I bought back the put options that I sold roughly 2 weeks ago in NVIDIA Corporation (NVDA). The net profit for this trade is $231 or 2.2%
The purchase price of these put options is $0.65 so one can debate their is still enough money left to let it ride for a while. I agree. However, given that rest of the market is struggling I wanted to be more in cash. After all, my retirement account does not have margin trading capability.
If the market dips in coming days it could give me a nice entry point for couple of stocks in my list.